LEGISLATIVE FISCAL ESTIMATE

ASSEMBLY, No. 2054

STATE OF NEW JERSEY

222nd LEGISLATURE

 

DATED: OCTOBER 26, 2026

 

 

SUMMARY

 

Synopsis:

Requires Division of Children’s System of Care to make changes to certain policies regarding the provision of family support and respite care services for certain eligible individuals.

Type of Impact:

Annual State expenditure and revenue increases.

Agencies Affected:

Department of Children and Families.

 

 

Office of Legislative Services Estimate

Fiscal Impact

Annual

 

State Expenditure Increase

Indeterminate

 

State Revenue Increase

Indeterminate

 

 

·         The Office of Legislative Services (OLS) finds that the Department of Children and Families’ annual expenditures will increase by an indeterminate amount to provide a bank of additional respite care service hours for the family or guardian of an individual under the age of 21 with a developmental disability who is authorized to receive family support services through the Division of Children’s System of Care.

·         Given that the bill does not specify the number of additional respite care hours that would be provided annually, the OLS lacks the informational basis to determine the amount by which annual State expenditures will increase. 

·         To the extent that additional respite care services are provided for individuals who are eligible for NJ FamilyCare, annual State revenues from federal Medicaid reimbursements will increase by an indeterminate amount.

·         The OLS also finds that the provision in the bill prohibiting any reduction in respite care service hours for an eligible person’s family or guardian during a 12-month service authorization period could affect the department’s costs by an indeterminate amount. 

 

BILL DESCRIPTION

 

      The bill requires the Division of Children’s System of Care in the Department of Children and Families to establish a 12-month authorization period for the provision of self-hired, agency-hired, and agency-weekend respite care to an individual under the age of 21 with a developmental disability.  For an individual authorized to receive family support services, the bill requires the division to ensure that the individual’s family or guardian is provided a bank of respite care service hours in addition to any other family support service hours the individual, the individual’s family or guardian, or both are eligible to receive; these additional respite care hours can be used during each authorization period.  The bill also requires the division to establish a process by which the family or guardian of an individual authorized to receive family support services would undergo an annual re-evaluation of the need for the family support services received during the authorization period.

      The bill stipulates that nothing therein is to be construed to allow the division to reduce the respite care service hours authorized for an individual with a developmental disability, the individual’s family or guardian, or both, during a 12-month authorization period.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS finds that the Department of Children and Families’ annual expenditures will increase by an indeterminate amount to provide a bank of additional respite care service hours for the family or guardian of an individual under the age of 21 with a developmental disability who is authorized to receive family support services through the Division of Children’s System of Care.  Because the bill does not specify the number of additional respite care hours that might be provided, the OLS lacks the informational basis to determine the amount by which the department’s annual expenditures will increase under the bill.  To the extent that additional respite care services are provided for individuals who are eligible for NJ FamilyCare benefits, annual State revenues from federal Medicaid reimbursements will increase by an indeterminate amount.   

      The OLS also finds that the bill’s provision prohibiting any reduction in the number of authorized respite care hours during a 12-month authorization period could affect departmental costs, albeit by an indeterminate amount.  Currently, an eligible individual’s need for, and the family’s or guardian’s utilization of, respite care services are re-evaluated every 90 days, with adjustments made to the number of authorized respite care service hours.  To the extent that this provision results in the delivery of additional respite care hours for eligible individuals and their families or guardians over a 12-month period, the department’s costs will increase, potentially by a significant amount.

      The OLS concludes that the department’s administrative costs will increase by an indeterminate amount for the department to track the new bank of respite care service hours provided to certain families and guardians, in addition to any other family support service hours provided to eligible individuals or their families and guardians.

      Respite care services are one component of family support services offered by the division for eligible families of an individual under the age of 21 with a developmental disability.  According to the division, the receipt of family support services is contingent upon the availability of State resources; moreover, prior to accessing family support service resources, a family must first access all other benefits for which the individual may qualify, such as private insurance or Supplemental Security Income benefits.

 

Section:

Human Services

Analyst:

Anne Cappabianca

Senior Fiscal Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).